Volkswagen Defends Workforce Cuts and Cost-Saving Measures at Employee Assembly
VW leadership and union representatives address employees following a December agreement to cut 35,000 jobs in Germany by 2030 while avoiding plant closures and layoffs.
- Volkswagen and IG Metall reached a December agreement to reduce 35,000 jobs in Germany by 2030, avoiding plant closures and forced layoffs.
- The deal reinstates and extends job security guarantees until 2030, which had previously been revoked by VW.
- Cost-saving measures include cuts to bonuses, holiday pay, and other allowances, with salary increases on hold and adjustments to align with lower industry tariffs by 2027.
- Betriebsratschefin Daniela Cavallo acknowledged the painful concessions but emphasized the preservation of the company's internal tariff structure.
- Volkswagen CEO Oliver Blume attended the assembly but refrained from speaking, following criticism during prior meetings marked by employee protests.